Accountancy, asked by gurpreet9184, 1 year ago

What is the payback reciprocal?

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Answered by hav77

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The payback reciprocal is a crude estimate of the rate of return for a project or investment. The payback reciprocal is computed by dividing the digit "1" by a project's paybackperiod expressed in years. For example, if a project's paybackperiod is 4 years, the payback reciprocal is 1 divided by 4 = 0.25 = 25%.

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